Thai Industries Federation Urges Diesel Export Ban Lift, Citing Petrochemical Impact

The Federation of Thai Industries (FTI) has requested authorities to lift the diesel export ban, citing the current situation where domestic refineries are reducing their production capacity. According to the FTI, this export restriction is severely impacting the petrochemical industry, which relies on these raw material supplies. The FTI highlighted the potential for reduced refinery operating rates to affect domestic diesel supply. However, they also warned that a prolonged export ban could lead to increased production costs and supply shortages for petrochemical products, ultimately negatively affecting the Thai economy as a whole. The petrochemical industry, in particular, holds a significant position in Thailand's manufacturing sector, and a decline in its competitiveness is a cause for concern. This request from the FTI underscores the difficult challenge for the Thai government in balancing energy security with industrial competitiveness. Measures are needed to meet domestic demand while maintaining export-driven foreign exchange earnings and industrial development.